Among the firms losing hope in Research In Motion following another dismal earnings report, Ticonderoga Securities is telling investors to be cautious with RIM. Analyst Brian White fails to see the pot of gold at the end of this rainbow, and suggests that competitors — Apple, in particular — are beating RIM to the punch. “In our view, the fall of RIMM with its ‘too-little-too-late’ BlackBerry refresh will continue to add to Apple’s momentum that we believe could be off the charts with the iPhone 5 launch,” White wrote in a note to investors on Friday. Read on for more.

RIM on Thursday reported fiscal second-quarter earnings that missed Wall Street’s consensus as well as the company’s own forecast. Profit tumbled almost 60% year-over-year to $329 million and the company burned through more than half of the cash it had at the end of the first quarter, leaving RIM with $1.4 billion on hand. The vendor shipped 10.6 million smartphones, below the 11 million to 12.5 million range it had projected, and it only managed to ship 200,000 PlayBook tablets into sales channels.

“RIMM continues to struggle with smartphone market share and we expect the new BlackBerry 7 devices will be steamrolled by Apple’s iPhone 5 in October,” White wrote in his note. BGR noted in an earlier report that RIM’s share of the global smartphone market may have dipped into the single digits last quarter. The analyst continued, “We believe it is only a matter of time before the iPhone and iPad challenge RIMM’s enterprise dominance. Furthermore, we believe the PlayBook is poised to follow HP’s TouchPad as the next casualty of iPad’s tablet dominance.”

RIM co-CEO Jim Balsillie said during the company’s earnings call on Thursday that it would soon begin selling its PlayBook tablets at lower price points, though he did not elaborate. Balsillie also noted that a software update would be made available for the PlayBook next month that will finally bring native email and other PIM functions to the device, as well as RIM’s Android app player.

White sees a bumpy road ahead for RIM, and he says it is difficult to take the company’s optimistic outlook seriously. “For 3QFY12, RIMM expects revenue of $5.3-$5.6 billion (up 27%-34% Q/Q vs. nine-year average of up 16%) versus the Street’s estimate of $5.27 billion, with BlackBerry shipments at 13.5-14.5 million (up 27-37% vs. nine-year average of up 21%),” the analyst wrote. “Having repeatedly provided an overly optimistic outlook and the iPhone 5 poised to launch soon, we believe RIMM will again come up short.”

Demand for what BlackBerry phones? The BB OS 7 phones? They’re slightly better than BB OS 6 phones only with more touch. The browser still sucks and the user experience needs a refresh to reach more modern expectations of users. Enough with the “it does enough” banter. It doesn’t, and that’s why it may seem that demand is “pent up,” only it isn’t. There is no demand being exhibited anywhere in my company and most of the enterprise’s mobile initiatives for devices is in using Good Mobile on Android and iOS with iOS being of heavy use. BlackBerry is losing because its user experience sucks, it does not support Exchange ActiveSync (not everyone needs/wants BIS and/or BES), and applications are sparse. Whoever “demands” more BlackBerry is suffering from astigmatism. You’re in my prayers.

guest

Sure the president of US who has a blackberry is suffering from it? eh douchebag?

Anonymous

That’s called an expression you idiot, like when you vote. Just because he’s the president, doesn’t mean he is the only one who writes policy on mobile usage. He just co-signs it. They’re beginning to say the iPhone is “your Dad’s phone.” You know what phone held that distinction previously? The BlackBerry. Obama won’t touch Android til he’s 70. You’re fuckin right he’s suffering from it. Read a philosophy book beitch!

but this time they are right unless their QNX phones are GODLIKE RIMM will fall into the ABYSS

http://twitter.com/psiclne Will I Am

Why am I not surprised to see this on BGR?

Bringit

because it’s a tech blog you tool.

Thank you

If I could up-vote you 10 more times, I would.

Anonymous

Am i missing something or are tech blogs not suppose to be about technology? 75% of BGR articles are analysts barfing up rumors for no reason other then to help threir own stock portfolio.

Borat

Yes, you are missing something. Hi five!

Bringit is an idiot

No what its become is the TMZ of tech blogs with nothing but rumors and gossip you two bit Apple loving twit. Some of you Apple guys are fucking sad!!

RIM-Jobbers are Whiners

How come you never see news like this on Crackberry? probably bc they don’t want to report negative shit.

Bringit

I am happy actually, but thanks for caring. That is sweet of you.

The Thrasher

Wow looks like AppleSux has a brother??? Great another RIM lover

Applesucksfatties

some? I would have used the word “most”. And to the RIM Job tool… CrackBerry does post the bad news too… they just don’t spin it to make it sound MUCH worse than it is….and the posters there are far more intelligent and mature than the moron stalker dipshits that post on this site constantly.

The Thrasher

AppleSux needs to spend some time away from BGR. It just upsets him too much to hear anyone talk bad about him RIM FAGS!

Applesucksfatties

@1aa39394e6d30d1b7a3f96c19821c28e:disqus I think from posting so many comments on this site the past 2 day, you are starting to become delirious. I don’t have a problem with people that don’t like RIM…my beef is with trolling morons that are constantly out here posting their bull$hit… Honestly, I would be shocked if you could actually come up with a mature, educated post….

The Thrasher

Oh poor little AppleSux is delirious now? Oh are you going to cry to mommy because your little RIM company is performing so poorly? Do yourself a favor, take a few weeks off dude.

All this bad RIM news has you so depressed. Their phones are losing market share, the new devices are getting hammered in reviews. Not to mention that under-performing PlayBook. Wow that’s awful dude.

Applesucksfatties

@1aa39394e6d30d1b7a3f96c19821c28e:disqus – again, reading comprehension isn’t your strong suit. Maybe you need to take a few weeks off to actually get a clue. I’m not depressed in the least big.. maybe a little anxious to get my 9900 on AT&T (and the OS 2.0 for PB).. but no, I’m good. Thanks for caring.

crackberry who cares they are done like symbian. It’s so simple you release underpowered shit noone will buy it’s that simple why do cell phone makers not understand this simple fact if it’s single core it will fail

SheriffBart

Another pro-Apple – anti-Blackberry article by a so called “analyst”. Quite a surprise.
Before long, we will be hit with another “unnammed”, “unconfirmed”, or “rumored” report from another BGR analyst. I’m fastening my seat belt.

Charles Clout

You missed out exclusive “unnammed”, “unconfirmed”, or “rumored” report. ;)

Anonymous

It’s like all of those reports claiming that Lexus makes better vehicles than Kia. I hate biased media in all forms. (Biased does mean simply something I don’t agree with, regardless of its objective validity, right?)

Anonymous

How do you recommend writing a pro-blackberry anti-apple article. Such a beast would defy reality.

Sabu213

IPhone 5 will be to IPhone 4 what Dark Knight was to Batman Begins …

Sergio

Here at LatAm BlackBerry still rules so we don’t care about iPhone

Zac Caslin

There are reasons for that. Money comes to mind.

Anonymous

Lol you’re like North Americas pants

Death Spiral

really? i heard LatAm was down the toilet for BlackBerry as well.

http://twitter.com/ciscookidd Francisco Garcia

the Playbook will not be another “TouchPad” casualty. ihate it how you dont even try to give one positive thing about RIM here. The RIMpire has struck back and people cannot accept that. They sit behind their iglasses and only see one company, APPLE. dont give me wrong, i own a Mac and iPods etc, but this iPhone craze has transformed our world into something else. RIM may not be up to par with retina displays and cool advertising, but i never heard RIM having problems with Antenna placement, employees leaving protypes at the bar, or NOT having Flash Support until now. cmon apple, im waiting for someone to find the iphone 6 at a bar and see Apple Employees pretend they are cops to get the phone back ;)

Cheers,

I very happy Blackberry owner.

invid

To be fair, a RIM employee could leave a prototype at a bar and no one would notice. They all look the same.

Anonymous

Lol

Anonymous

If someone left a RIM prototype in a bar, no one would notice and no one would care.

That is actually RIMs problem. No one cares about them.

As more and more companies leave mobile device choices in the hands of employees instead of procurement departments, RIM will continue to disappear into the ether,

Anonymous

Its amazing just not too long companies were paranoid about wireless, blackberry had to go to extreme lengths to show security on their devices. Now companies seem to not care as much as other mobile has bumped up this offering, but still not on par with blackberry. So either security is taken for granted but their has been several articles showing the growing malware problem of android and security issues of both apple and android. America’s strength is tied to corporate America.. can you imagine a massive/malicious attack on these mobiles that store/send sensitive material? Now blackberry mat not be the coolest consumer device, but they put their top priorities into communications and security .. they shoudnt be knocked to the we dont care bin, they the only company who is strict on these priorities, I cant the same about the others. I hope there will always be this option and we shouldnt wish RIM away but accept them for what they offer, a niche product in a niche market. Anything in the consumer space should just be bonus for them and not a gauge of their success.

Death spiral

agreed. It’s a good device for large highly security conscious Enterprise. Their problem is to go back to that they have to shrink the company by about 70%. Perhaps the 2000 layoffs we just saw were the first part of that process. Problem is it’s a public company and shareholders don’t usually appreciate a strategy of -70% growth………

Zac Caslin

I love the last part. Did you put it there to convince yourself that.

Anonymous

Francisco–Dry your eyes and rejoin the real world.

Nobody gives a crap about PlayBook. Maybe the fact it shouldn’t have been released without a native email client has a bit to do with the public apathy towards PB. Bridge is interesting and innovative technology, but if that is the only way to access the internet for email and such, then it was a grave miscalculation by RIM.

The fact it supports Flash is irrelevant, as Flash on mobile devices has, itself, become irrelevant–Windows 8 won’t support Flash, either. That 7 hour battery life is indicative of the issues PB has with power management in general.

Launching with 3,000 native apps was a swing and a miss as well.

Glad you’re happy with your BB, but you need to realize that accurate reporting of RIM’s troubles are not Apple or Android boosterism, but is in fact a very real look at the world RIM faces right now. The products its releasing right now won’t win them 1 new customer they didn’t have before, and they figure to lose many current customers coming off contract who will look for a good touchscreen device with the BB features and find out there is none.

Death Spiral

Was failing in Q1, firing 2000 employees, then reporting way worse results in Q2 part of your cunning plan? Masterfull ! You have the whole World outside possibly Canada fooled that RIM is in a death spiral when really you are striking back…… Bravo RIM, Bravo.

PaloAltoWorldView

“While he did not indicate what functionality the new update might add to the tablet…” False. He did detail this. Read the conference call transcript. By the way, sell-through of 13.7 million devices was the second-highest of any quarter in RIM’s history, and the total subscriber count is now over 70 million — a new record, indicating an increase of over 5 million. In addition, there are new customers who do NOT subscribe to BIS/BES service, as large share of BlackBerry customers in emerging markets don’t have email or otherwise “subscribe” to anything except a generic SIM card that supports circuit-switched voice and SMS.

Anonymous

All those numbers you quoted are cool and all but they still are losing market share, losing profits, even with all those shipments so the free blackberry’s promos they run all over the world are not paying off. Rim is losing steam slowly but surely.

PaloAltoWorldView

On what are you basing “they are still losing market share”? Depending on which few quarters you are using to measure (the most recent August quarter of course being by far the weakest one), RIM has shown a revenue growth rate over the last year (handful of quarters) of anywhere between 18% and 45%. The industry growth rate is close to 10%-12%. So RIM is gaining market share, not losing. Likewise, both Google and Apple are also gaining market share. The main loser of market share is Nokia, which is going from 37% a couple of years ago, to a much lower number today. SonyEricsson and Motorola have also lost market share in the last couple of years. As you can see from their numbers, they have essentially zero revenue growth over the last couple of years. You are correct that the August quarter was a very weak one for RIM, and if that trend were to continue for the next year, RIM would be in decline. But the guidance for the November quarter and the February quarter right now is for RIM’s growth rate to be faster than the industry as a whole, i.e., RIM would then continue to be gaining market share. Last I checked, RIM has about 3.2% of the world’s cell phone unit market share, very similar to Apple. This was 0% for RIM in early 2002 and 0% for Apple in early 2007, so Apple has grown faster in the last 4 years, but they are in a similar position now. That said, Apple is still growing faster than RIM and will be much larger than RIM very soon if current trends continue. But that does not mean that RIM is losing market share — it too can be gaining market share, even if Apple is gaining even more.

Anonymous

Just as an aside, RIM is the only company that accurately knows and reports how many ACTIVE users they have.

70 Milion ACTIVE subscribers… Not that dead after all

Anonymous

Wow and the hits keep coming.

http://MobileGenius.wordpress.com JM

There are way too many stories reporting what “industry expert” analysts think will happen with one company or another on this site. It is actually making me want to spend less time visiting BGR. In fact, I already have. BGR is still a good place online to visit but there has been less worth reading recently.

Anonymous

I feel bad for RIM. LoL.

RIM-Jobbers are Whiners

RIP RIM!

Anonymous

Amateur hour is over, over I tell you!

Anonymous

“HP’s TouchPad as the next casualty of iPad’s tablet dominance.”
At this rate I am going to need a bigger place to store all my FIRE SALE tablets.

In all seriousness, It sucks I liked RIM but they move like Turtles in a rabbit race.

Anonymous

Their marketing is mostly to blame. Apple could sell poop in golden foil and people would buy it. RIM needs to deliver a clear and concise identity to it’s target market. The phones have good hardware, decent software,and strong brand awareness. But they don’t sell because people no longer identify with the brand. Identity crises can be fixed but it takes millions of advertising dollars and the right message. Look at Old Spice. The changed the label and gave it an identity and bam. Back on top almost overnight.

Death Spiral

remind me…… who is the self appointed CMO at RIM now? :-)

fishkid13

Especially with iMessages in iOS 5. This is direct competition to BBM.

AppleSauced

Why all the love for a propitiatory messaging system?

Didn’t care that Blackberry had it. Now it’s awesome that Apple will have it.

Have some more Kool Aid.

fishkid13

False it was the main thing I envied about Blackberry users. I loved using it on my friends phones and now that it’s on iPhones I’m happy to have the feature myself.

Anonymous

Its articles like this that lead readers here to believe the site has a strong bias. Almost all of RIM’s lost market share has gone to Android yet one article after another is posted here, suggesting the beneficiary has been/will continue to be Apple. Its a fact, Apple’s market share is either flat or very slightly increased since the fall of RIM.

I’ll predict this. When the newest iPhone arrives and inevitably sells well many, many articles will be posted here suggesting market share losses for Android. Weeks later we will discover Android market continued to increase even with iPhone 5… just as it did with iPhone 4, iPhone for Verizon and all of the other Apple “game changers”.

jhrain

I left my iPhone behind, and haven’t looked back. My new Torch 9810 has the same apps my iPhone had and my, oh, my i love the keyboard and the way it handles email and messaging. Everyone will hate RIM for a little longer, then will herald them as the “next best thing”.. tired of this behavior from tech blogs. Find something real to write about.

Dave DaDude

If you think that your Torch has the same apps your iPhone had then you my friend are sadly mistaken. I personally don’t care which brand you’re loyal to, but every one including RIM knows that their app store is a joke and can’t compete with any other app store out there.

Anonymous

Glad you like your Torch, but the “new” RIM phones are being universally derided as uninspired replicas of what was released in previous models.

Here is the problem: Over the past two years, RIM has done nothing to improve their game and stay competitive. While iOS and Android phones have added features and created app markets with hundreds of thousands of apps, the “new” BB phones are simply 3G or 4G versions of the phone RIM created the previous year. What they do, they do very well, but the market is leaving RIM for touchscreen devices (and, no, the Torch is not a touchscreen device that the general public is seeking). A smartphone has become about much more than simply responding to email and text messages, but that is the practical limit of a BlackBerry today.

So as owners of BB Curves and Bolds come up for their 2 year renewal this Fall and have the option of either taking the newest generation of the phone they’ve owned the last 2 years, or stepping into the newest generation of the iPhone or an Android model, it is believed by many that BB users will jump ship, tired of RIM’s inability to release a touchscreen device on par with iOS and Android phones and to create a viable, modern OS (versions 6 and 7 were outdated the day they were released).

[And yes, I know of what I speak: My phone is a Nexus One on Gingerbread, the wife’s is a Bold 9700 and the son’s is an iPhone4, so I am very familiar with all three OS.]

Give Microsoft a year to generate some traction with Mango–if Google loses its lawsuit with Oracle and has to levy triple damages in fees on the “free” Android OS, on top of the royalties many Android manufacturers are paying to Microsoft now, Windows Mobile may become a cost-effective alternative to Android for HTC and others–and RIM could be out of cash in 18 months time. They’re burning through it now as it is, and figure to wind up taking a big writedown on the PlayBook tablets which never should have been released in the first place.

It is just that simple. Again, glad you like your Torch; this isn’t to bash RIM or to pimp iOS, Android or Windows Mobile. It is merely the facts in the matter. RIM is in serious, serious trouble. Time is not going to cure its problems, time is only going to make it worse.

Applesucksfatties

Shocking string of articles posted by iBGR…er BRC (Bash RIM Constantly). Isn’t there any other tech news to report about or is bashing RIM on the daily menu in the near future?

Death Spiral

Probably not. At least for as long as RIM continues to stagger from one disaster to another. Bad news sells and RIM is a generator of bad news at the moment. That’s life. Get over it.

Applesucksfatties

What is funny about iBGR is that they just don’t report the earnings call information, they post 10 “what if” analyst articles before the day of the earnings call.. .and then they post 10 “the ship is sinking” articles after the earnings call (of course with their own extra special Apple spin)..

I think I saw Applesux in the alley with a pinkberry getting savagely cornholed.

Applesucksfatties

The f*cking idiot speaks… did you finally come up from the basement?

The Thrasher

No really, I think RIM has a chance. They hired AppleSux as their strategic manager. Yeah sure, they will smoke the iPhone 5

Applesucksfatties

Dude, if you are going for the title of Most Annoying Troll, you have won hands down the past 2 days.. time to move on now.

The Thrasher

Wait, I was wrong.. Sorry. Yes OS7 is going to save RIM.. YA SURE

AppleSauced

All the really negative stuff is coming from American Analyst.

Just saying

Doogie124

I wonder if RIM has enough cash to keep operating until QNX phones arrive.

Death Spiral

yes they do. they have a lot of cash. it might get burnt up quite fast but realistically they can hang on quite a while.

Dave DaDude

Its funny to me how you Blackberry and Google users always accuse Apple users of being fanboys, but this comment thread shows how you Blackberry users are guilty of just that. I personally am not loyal to any brand, as I have used BB, I’ve had several android phones by different manufacturers, and have used every iPhone. My whole thing is whatever phone I like more at the current moment and fits my needs best, which is high volume texting, and good battery life, then thats what I’m going with. I don’t own stock in any of these companies, therefore I could care less about who leads in marketshare as it doesn’t affect my back account. You guys take all this stuff way too seriously!

Willy_Jack

Sry, just have to:

What everybody else here keeps forgetting is that:
a) We knew this since last year.
b) BB hasn´t come out with new phones for one year
c) Whatever happens now, is in fact IRRELEVANT, because RIMM stands or falls with QNX. Which means, that, 2012 BB will be around for sure, and i would say in Q1 2013 we will know if RIMM survived and has some big profits or if they loose money and will die in 2013.

And that leads me to this:

PLEASE RIMM make it right. BB OS7 is great, and I love the Torch2. PLaybook is the same. RIMM is the only manufacturer with a good hardware keyboard, since Apple will NEVER do it, and the Android manufacturers keep making less of them. Apart from the security, corporate security, encryption etc. that nobody else has, and everybody with a BB should love them. Also the BIS and BES is part of that.
And i really do not want to loose them. A guy before said, Ecosystem vs. Hadwarekeyboard is an easy choice. And he was right, I´ll take both,

But RIMM is failling so miserably in PR, that i can not even formulate it in words. In PR and Marketing, they SUCK!!!!!!!!!!!!!!!!!

And if they do not come up with some really good PR stunts, and 500000 televisions ads a Day, that are funny, intelligent and keep the normal Joe interrested in the RIM brand, than i think they will go down. It is this ugly yet beautifull world, where people only see, what the media tells them see. No media presence —–> no sells because of no mass population attention. I love RIMM for a lot of things. But i hate them for theire PR and Marketing Departement. If they want to succeed. they must spend billions on commercials.

Willy_Jack

I think of something that makes fun of the apple commercials. Like:

If you have a Blackberry….. Well, you have a Blackberry.

Anonymous

Yes, that sort of inspired advertising is just what RIM needs to get back in the public consciousness.